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    <title>U.S. Lost 33,000 Jobs in September; Unemployment Rate Dips to 4.2% - The New York Times</title>
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<p class="story-body-text story-content" data-para-count="227" data-total-count="227">Staggering from the impact of hurricanes that walloped Texas, Florida and neighboring states, the economy <a href="https://www.bls.gov/news.release/pdf/empsit.pdf">lost 33,000 jobs</a> in September, the first monthly decline in employment in seven years, the government reported on Friday.</p><p class="story-body-text story-content" data-para-count="121" data-total-count="348">But economists discounted the discouraging report, describing it as a blip in a job market that was fundamentally strong.</p><figure id="sept2017-jobs" class="interactive interactive-embedded  limit-small layout-flex-medium">
    
    
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<p class="byline-dateline"><time class="dateline" datetime="2017-11-03T05:00:02-04:00" itemprop="dateModified" content="2017-11-03T05:00:02-04:00">OCT. 6, 2017</time>
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            Source: Bureau of Labor Statistics        </div>
        
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<p class="story-body-text story-content" data-para-count="210" data-total-count="558">Some of the good news released by the Labor Department — a drop in the jobless rate to <a href="https://www.bls.gov/news.release/pdf/empsit.pdf">4.2 percent</a> and a year-over-year gain in wage growth of 2.9 percent — may also have been skewed by weather disruptions.</p><figure id="sept2017-unemployment" class="interactive interactive-embedded  limit-small layout-flex-medium">
    
    
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<p class="byline-dateline"><time class="dateline" datetime="2017-10-06T09:47:16-04:00" itemprop="dateModified" content="2017-10-06T09:47:16-04:00">OCT. 6, 2017</time>
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            Source: Bureau of Labor Statistics        </div>
        
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<p class="story-body-text story-content" data-para-count="365" data-total-count="923">“The numbers were certainly blown around a lot by the storms,” said Carl Tannenbaum, chief economist for Northern Trust. For that reason, he said, <a href="https://www.nytimes.com/2017/09/26/us/politics/janet-yellen-fed-interest-rates-inflation.html?_r=0">t</a><a href="https://www.nytimes.com/2017/09/26/us/politics/janet-yellen-fed-interest-rates-inflation.html?_r=0">he Federal Reserve</a>, which has been scrutinizing the employment report for signs of inflation, will probably look past this report. “As winds calm,” he said, “my guess is employment figures will stabilize.”</p><div id="story-ad-1" class="story-ad ad ad-placeholder nocontent robots-nocontent ">
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<p class="story-body-text story-content" data-para-count="107" data-total-count="1030" id="story-continues-1">That pattern held true for Bruce Gropper, who runs Right at Home, a home-care franchise in Palm Beach, Fla.</p>        <a class="visually-hidden skip-to-text-link" href="#story-continues-2">Continue reading the main story</a>
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        <p class="story-body-text story-content" data-para-count="276" data-total-count="1306" id="story-continues-3">“We put our hiring on hold” because of the weather, Mr. Gropper said, adding that many of the 50 to 75 caregivers who work for him and would typically have been in the field were unable or unavailable to work during a two-week period. “Now, things are back to normal.”</p><p class="story-body-text story-content" data-para-count="377" data-total-count="1683">It was the same in Texas. “There’s a lot of manufacturing jobs in Beaumont, Corpus Christi, Houston, all of which suffered damage,” noted Ray Perryman, president of the Perryman Group, an economic research and analysis firm based in Waco, Tex. “Some of these plants were shut down for an extended period of time, and that would have gotten into the September survey.”</p><p class="story-body-text story-content" data-para-count="254" data-total-count="1937">One upside may be a surge in hiring in subsequent months. Using <a href="https://www.nytimes.com/2017/08/28/us/hurricane-katrina-harvey.html">Hurricane Katrina</a> in August 2005 as a benchmark, Jim O’Sullivan, chief United States economist at High Frequency Economics, said he expected payrolls to bounce back by the end of the year.</p><p class="story-body-text story-content" data-para-count="287" data-total-count="2224">“There’s no question there were huge hurricane effects,” he said. Food and drinking establishments alone lost 105,000 jobs last month, and the Bureau of Labor Statistics reported that the number of people who said they were not working because of bad weather <a href="https://www.nytimes.com/2017/10/06/business/economy/jobs-report-unemployment.html">jumped by 1.5 million</a>.</p><figure id="econ-stormeffect" class="interactive interactive-embedded  limit-small layout-sub-medium">
    
    
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            Harvey and Irma Kept Workers Off the Job        </h2>
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            Number of people not at work due to bad weather during September of each year.        </p>
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<p class="story-body-text story-content" data-para-count="407" data-total-count="2631">Mr. O’Sullivan and several economists agreed that the labor market was still pushing ahead — no matter how unevenly — in what is now the ninth year of an economic expansion. “The other data we’ve been seeing this week don’t show any signs of a weaker trend,” Mr. O’Sullivan said. “If you take out Texas and Florida, there’s been no increase in jobless claims over the past five weeks.”</p><p class="story-body-text story-content" data-para-count="175" data-total-count="2806">The stock market’s reaction to the news was mildly negative. The Standard &amp; Poor’s 500-stock index declined slightly from record levels after eight straight days of gains.</p><p class="story-body-text story-content" data-para-count="304" data-total-count="3110">President Trump called attention this week to the economy’s successes, writing on Twitter on Thursday, “Stock Market hits an ALL-TIME high! Unemployment lowest in 16 years!” Last week, Mr. Trump said that the Republicans’ proposed tax cuts would provide further “<a href="https://www.nytimes.com/2017/09/29/us/politics/trump-tax-cuts.html?_r=0">rocket fuel for our economy</a>.”</p><figure class="media twitter embedded layout-horizontal-inset">
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<p class="story-body-text story-content" data-para-count="274" data-total-count="3384">Many workers have been waiting to see concrete evidence of economic progress in their paychecks. Although the Census Bureau last month reported a <a href="https://www.nytimes.com/2017/09/12/business/economy/income-rebound-recession.html">jump in annual incomes</a> across a wide spectrum, households with incomes below the median remain worse off than they were in 2000.</p><div id="story-ad-2" class="story-ad ad ad-placeholder nocontent robots-nocontent ">
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<p class="story-body-text story-content" data-para-count="182" data-total-count="3566" id="story-continues-4">The hefty growth in average wages reported on Friday was probably exaggerated, because many low-wage workers were temporarily displaced by the storms, bumping up the overall average.</p><p class="story-body-text story-content" data-para-count="327" data-total-count="3893">At least a portion of the 0.5 percent average hourly wage growth last month, though, is likely to stick. There is plenty of evidence that broad swaths of the labor market are tightening. <a href="https://www.nytimes.com/2017/09/25/business/target-base-pay.html">Target</a> said last month that it would increase its base hourly pay by $1, to $11 — higher than or equal to the minimum wage in every state.</p><div class="newsletter-signup hidden auto-newsletter variant-1-hidden " id="newsletter-promo" data-newsletter-productCode="" data-newsletter-productTitle="" aria-labeledby="newsletter-promo-heading">
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<p class="story-body-text story-content" data-para-count="230" data-total-count="4123">Amy Glaser, senior vice president of Adecco Staffing, said that employers she worked with were raising wages and reaching into less-common pools of potential employees like retirees, stay-at-home moms and people with disabilities.</p><p class="story-body-text story-content" data-para-count="376" data-total-count="4499">Ms. Glaser said she expected wages to rise further, saying some of her clients were thinking about increasing hourly wages as much as 20 to 40 percent during the peak holiday season and early next year. Employers are also pushing to retain the workers they have — for example, by offering more bonuses for e-commerce and other seasonal workers who stay through the holidays.</p><p class="story-body-text story-content" data-para-count="301" data-total-count="4800">Some businesses are trying to generate and educate their work forces by offering more paid internships and apprenticeships. Others are shortening the interview cycle to improve their chances. “There is a need for speed,” Ms. Glaser said. “Whoever gets to a candidate first is well positioned.”</p><p class="story-body-text story-content" data-para-count="269" data-total-count="5069">Radial, the second-largest direct-to-consumer e-commerce company behind Amazon, is hiring 27,000 people to work in its 25 warehouses around the country through mid-January. Even as brick-and-mortar retail is suffering significant losses, e-commerce continues to thrive.</p><p class="story-body-text story-content" data-para-count="304" data-total-count="5373">“We’re hiring 35 percent, or 7,000, more people than we did last year,” said Stefan Weitz, Radial’s executive vice president for technology services. “It’s very competitive. A lot of logistics companies have operations in similar areas because of the proximity to air and ground transport.”</p><p class="story-body-text story-content" data-para-count="313" data-total-count="5686">At the upper end of the labor market, the competition for highly skilled workers is intense. Bryan Leach, founder of Ibotta, a Denver company offering a mobile shopping app, said he had hired more than 100 people this year, including engineers, product managers and data scientists, mostly at six-figure salaries.</p><div id="story-ad-3" class="story-ad ad ad-placeholder nocontent robots-nocontent ">
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<p class="story-body-text story-content" data-para-count="316" data-total-count="6002" id="story-continues-5">“We are hiring national search firms to shop for talent in the coasts,” in addition to seven in-house recruiters, Mr. Leach said. The company has also helped sponsor billboards in San Francisco promoting the benefits of living in Denver and is offering $1,000 apiece to employees who refer friends who are hired.</p><p class="story-body-text story-content" data-para-count="218" data-total-count="6220">Despite the scramble for workers, the labor market has <a href="https://www.nytimes.com/2017/10/05/business/economy/recession-recovery.html">stubborn weak spots</a>. Many of the jobs available, like the seasonal positions at Radial, are at the lower end of the pay scale and do not offer long-term stability.</p><p class="story-body-text story-content" data-para-count="172" data-total-count="6392">For some workers, such jobs have limited appeal. The labor force participation rate peaked its head above 63 percent in September, but many workers remain on the sidelines.</p><p class="story-body-text story-content" data-para-count="402" data-total-count="6794">Revised hiring figures for July and August showed that a total of 38,000 fewer jobs were created in those two months than previously reported, bringing the monthly average gain in 2017 — excluding September — to 170,000. August’s figures will be revised one more time, while September’s will be revised twice over the next two months. State-by-state tallies for September are not yet available.</p><p class="story-body-text story-content" data-para-count="197" data-total-count="6991">(Although Hurricane Maria also devastated <a href="https://www.nytimes.com/interactive/2017/09/27/us/puerto-rico-hurricane-maria-before-after.html">Puerto Rico</a> in September, the survey of employers that the Bureau of Labor Statistics uses to calculate monthly payroll gains does not include the island.)</p><button class="button comments-button  theme-speech-bubble-large" data-skip-to-para-id="">
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<p class="story-body-text story-content" data-para-count="334" data-total-count="7325">The Katrina experience showed that hiring can rebound quickly after a disaster, as damaged communities clean up and rebuild. Employment gains averaged 249,000 in the six months before the storm. After New Orleans found itself underwater, gains averaged 76,000 over the next couple of months before soaring to 341,000 in November 2005.</p><p class="story-body-text story-content" data-para-count="527" data-total-count="7852">While the recovery from the latest storms takes shape, businesses and workers are still counting their losses. Brian Petranick, Right at Home’s president and chief executive, said Palm Beach was not the only community where franchises were unable to connect workers and clients. He estimated hurricane-related losses to the company would end up at $13 million to $15 million. “During big storms, we see a loss of hours and services,” he said. “That means caregivers are losing the opportunity to work and make money.”</p><footer class="story-footer story-content">
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